FICO Score Factors Guide

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1 Key score factors explain the top factors that affected your FICO Score. The order in which your FICO Score factors are listed is important. The first indicates the area that most affected your FICO Score and the second is next most significant area. It s important to take note of these items so you have a better idea of how you can improve your financial health in the future. However, if you already have a high FICO Score (usually in the mid-700's or higher), score factors may not be as helpful, since they represent very marginal areas where you could improve your financial health. Account payment history is too new to rate Accounts last reported in delinquent status Amount of credit available on revolving Amount owed on is too high Amount owed on bank/national revolving Amount owed on collections filed Amount owed on delinquent Amount owed on recently opened is too high Amount owed on recently opened bank/national revolving is too high None of the credit on your credit report contain enough payment to determine if you are a responsible borrower. FICO Score was hurt because your most recent late payment was too recent. available credit on revolving. credit, such as credit cards and non-mortgage loans. Generally, the more you owe on these, the greater risk you pose to lenders. revolving credit card. Generally, the more you owe on these, the greater risk you pose to lenders. collection. Generally, the more you owe on these, the greater risk you pose to lenders. A collection is a powerful predictor of future payment risk. Paying off a collection will not remove a valid item from your credit report. It will be still be considered by your FICO Score. Late payments are a very powerful predictor of future payment risk, and the amount you owe on your past-due is too high. The higher the balances on pastdue, the greater the risk. recently opened credit, such as credit cards and non-mortgage loans. Generally, the more you owe on these, the greater risk you pose to lenders. recently opened revolving credit card. Generally, the more you owe on these, the greater risk you pose to lenders. As your credit history lengthens, this factor may have less of a negative impact on your score. Focus on continually paying all your bills on time. This will demonstrate a good payment history and your last missed payment will have less of an impact on your FICO Score as time passes. If you believe the late payment on your credit report is an error, you can file a dispute with the credit bureau. The extent of your credit usage is one of the most important factors to your FICO Score. Having a lower proportion of balances to credit limits indicates less risk, so having a higher amount of available credit is better. Try to pay off your current debts and maintain low balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your revolving credit card, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. As this item ages, its impact on your FICO Score will gradually decrease. Most collections stay on your report for no more than seven years. Try to demonstrate a good payment history on any credit you have. If you have none, consider opening a secured credit card to re-establish your repayment history. Try to get caught up on these past-due amounts and continue to pay your bills on time. Try to pay off your current debts and maintain low balances on recently opened. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your recently opened revolving credit card, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same.

2 Amount owed on recently opened consumer finance company is too high Amount owed on recently opened retail is too high Amount owed on recently opened revolving is too high Amount owed on recently opened sales finance company is too high Amount owed on retail Amount owed on revolving Amount owed on revolving is too high Amount past due on Bankruptcy filing reported recently opened consumer finance loans. Generally, the more you owe on these, the greater risk you pose to lenders. recently opened retail. Generally, the more you owe on these, the greater risk you pose to lenders. recently opened revolving. Generally, the more you owe on these, the greater risk you pose to lenders. recently opened sales finance company. Generally, the more you owe on these, the greater risk you pose to lenders. retail credit. Generally, the more you owe on these, the greater risk you pose to lenders. Your FICO Score evaluates how much you owe on your revolving, such as your credit cards. Generally, the more you owe on these, the greater risk you pose to lenders. Your FICO Score evaluates how much you owe on your revolving, such as your credit cards. Generally, the more you owe on these, the greater risk you pose to lenders. Your FICO Score was hurt because you have payments past due on your. Generally, the greater amount that is past due, the greater the risk to lenders. A bankruptcy filing on a credit report is a powerful predictor of future payment risk. Paying off your in bankruptcy will not remove the item from your credit report. It will still be considered by your FICO Score. Consider lowering the balances on your recently opened consumer finance loans, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your recently opened retail, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your recently opened revolving, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your recently opened sales finance company, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your retail, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your revolving, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Consider lowering the balances on your revolving, e.g., by paying more than the minimum payment each month if you can. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to get caught up on these past-due amounts and continue to pay your bills on time. Bankruptcies typically stay on your report for no more than ten years. As this item ages, its impact on your score will gradually decrease. Try to demonstrate responsible payment behavior on any credit you have. If you have none, consider opening a secured credit card to re-establish your repayment history. Copyright Fair Isaac Corporation. All rights reserved. 2

3 Date of last inquiry too recent Delinquency on Delinquency on recently opened Derogatory public record or collection filed Frequency of delinquency Insufficient installment payment history Lack of recent auto finance loan Lack of recent auto loan Lack of recent bank/national revolving Your FICO Score was lowered due to recent credit inquiries. Each time you apply for credit, a credit inquiry is added to your credit report. People who are actively seeking credit pose more of a risk to lenders than those who are not. However, typically the presence of inquiries on your credit file has only a small impact on FICO Scores. score was hurt because you have missed payments to your creditors. score was hurt because you have missed payments on recently opened. A derogatory public record or collection is a powerful predictor of future payment risk. Satisfying a public record or paying off a collection will not remove a valid item from your credit report. It will be still be considered by your FICO Score. score was hurt because your credit report shows multiple missed payments. Your credit report shows no recent non-mortgage loans (such as auto or student loans) or sufficient recent about your loans. Having a loan along with other types of credit demonstrates that you are able to manage a variety of credit types. Your credit report shows no open auto loans or sufficient recent about any of your auto loans. Your FICO Score evaluates your mix of credit cards, loans, and mortgages. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your credit report shows no open auto loans or sufficient recent about any of your auto loans. Your FICO Score evaluates your mix of credit cards, loans, and mortgages. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your FICO Score evaluates your mix of credit cards, loans, and mortgages, and your credit report shows no open revolving credit card or sufficient recent about your revolving credit cards. People who demonstrate responsible use of different types of credit are generally less risky to lenders. A common misperception is that every inquiry will drop your score a certain number of points. This is not true. However, as a general Your FICO Score will consider recent inquiries less as time passes, provided no new inquiries are added. Get caught up on any late payments, and do your best to stay current. Focus on continually paying all your bills on time. This will demonstrate a good payment history and these late payments will have less of an impact on your FICO Score as time passes. Get caught up on any late payments, and do your best to stay current. Focus on continually paying all your bills on time. This will demonstrate a good payment history and these late payments will have less of an impact on your FICO Score as time passes. As this item ages, its impact on your FICO Score will gradually decrease. Most public records and collections stay on your report for no more than seven years though bankruptcies may remain for up to 10 years. Try to demonstrate a good payment history on any credit you have. If you have none, consider opening a secured credit card to re-establish your repayment history. Focus on continually paying all your bills on time. This will demonstrate a good payment history and these late payments will have less of a negative impact on your FICO Score as time passes. Consider financing your next purchase with an installment loan, and paying back the loan on time. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new account may lower your FICO Score in the You might consider financing your next automobile purchase and paying back the loan on time. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new account may lower your FICO Score in the You might consider financing your next automobile purchase and paying back the loan on time. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new account may lower your FICO Score in the You might want to show new activity on any revolving credit card account. If you already have a credit card, you can show new activity by using it and paying it back on time. If you don't have a credit card, consider opening one. However, be aware that the credit inquiry associated with applying for a new card may lower your FICO Score in the Copyright Fair Isaac Corporation. All rights reserved. 3

4 Lack of recent consumer finance company account Lack of recent installment loan Lack of recent non-mortgage installment loan info Lack of recent reported mortgage loan Lack of recent retail account Lack of recent revolving account Lack of recently established credit Lack of recently established revolving Length of time have been established Your credit report shows no consumer finance loans or it does not report recent (such as payment ) about any of your consumer finance loans. Your credit report shows no recent non-mortgage loans (such as auto or student loans) or sufficient recent about your loans. Having a loan along with other types of credit demonstrates that you are able to manage a variety of credit types. Your FICO Score evaluates your mix of credit products, and your credit report shows no open installment loans (excluding mortgages) or sufficient recent about your installment loans. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your FICO Score evaluates your mix of credit cards, loans, and mortgages, and your credit report shows no open mortgage loans or sufficient recent about your mortgage loans. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your FICO Score evaluates your mix of credit products, and your credit report shows no retail or sufficient recent about your retail. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your FICO Score evaluates your mix of credit products, and your credit report shows no open revolving or sufficient recent about your revolving. People who demonstrate responsible use of different types of credit are generally less risky to lenders. Your FICO Score evaluates your credit history and your credit report shows no recently established. Your FICO Score evaluates your mix of credit products, and your credit report shows no recently established revolving. People who demonstrate responsible use of different types of credit are generally less risky to lenders. People who do not frequently open new and lenders. In your case, the age of your oldest account and/or the average age of your is relatively low. When applying for a loan from a consumer finance company, Try to stay current with all of your payments and avoid opening any new credit that you don't need. Consider financing your next purchase with an installment loan, and paying back the loan on time. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new account may lower your FICO Score in the Consider financing your next purchase with an installment loan, and paying the loan back on time. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new account may lower your FICO Score in the Demonstrate an ability to responsibly repay a mortgage loan. However, only take out a mortgage loan if you can afford the payments over the life of the loan. Be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new mortgage loan may lower your FICO Score in the If you already have a retail card, you may want to show new activity by using it and paying it back on time. If you don't have a retail card, consider opening one. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new card may lower your FICO Score in the short term. If you already have a revolving account, you might want to show new activity by using it and paying it back on time. If you don't have a revolving account, consider opening one. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new card may lower your FICO Score in the If you already have a credit account, you might want to show new activity by using it and paying it back on time. If you don't have a credit account, consider opening one. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new card may lower your FICO Score in the If you already have a revolving account, you might want to show new activity by using it and paying it back on time. If you don't have a revolving account, consider opening one. However, be aware that a new account opening, and to a lesser extent, the credit inquiry associated with applying for a new card may lower your FICO Score in the As your credit history lengthens and you pay your bills on time, this factor should have less of a negative impact on your score. Copyright Fair Isaac Corporation. All rights reserved. 4

5 Length of time auto have been established Length of time bank/national revolving have been established Length of time consumer finance company loans have been established Length of time installment loans have been established Length of time open installment loans have been established People who do not frequently open new and lenders. In your case, the age of your oldest auto loan and/or the average age of your auto loans is relatively low. People who do not frequently open new and lenders. In your case, the age of your oldest credit card account and/or the average age of your credit card is relatively low. People who do not frequently open new and lenders. In your case, the age of your oldest consumer finance loan and/or the average age of your consumer finance loans is relatively low. People who do not frequently open new and lenders. In your case, the age of your oldest installment loan and/or the average age of your installment loan is relatively low. People who do not frequently open new and lenders. In your case, the age of your oldest open (not yet paid off) installment loan and/or the average age of your open installment loan is relatively low. As your auto loan account history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. As your revolving credit card account history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. As your consumer finance company loan credit history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. As your installment loan credit history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. As your credit history on your open installment loans lengthen and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. Length of time reported mortgage have been established People who do not frequently open new and lenders. In your case, the age of your oldest reported mortgage loan and/or the average age of your mortgage loans is relatively low. As your mortgage credit history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. Length of time retail have been established Length of time revolving have been established Level of delinquency on No mortgage loans reported People who do not frequently open new and lenders. In your case, the age of your oldest retail account and/or the average age of your retail is relatively low. People who do not frequently open new and lenders. In your case, the age of your oldest revolving account and/or the average age of your revolving is relatively low. score was hurt because you have missed payments to your creditors. People who demonstrate responsible use of different types of credit are generally less risky to lenders, and your credit report shows no open or recently reported mortgages. As your retail credit history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. As your revolving credit history lengthens and you pay your bills on time, this factor may have less of a negative impact on your FICO Score. If you have late payments, get caught up on them and do your best to stay current. Focus on continually paying all your bills on time. This will demonstrate a good payment history and these late payments will have less of an impact on your FICO Score as time passes. Demonstrate an ability to responsibly repay a mortgage loan. If you have a mortgage, pay it back on time. If you don t have a mortgage, only take out a mortgage loan if you can afford the payments over the life of the loan. Be aware that opening a new account, and to a lesser extent, the inquiry associated with applying for one may lower your FICO Score in the Copyright Fair Isaac Corporation. All rights reserved. 5

6 No recent bank/national revolving balances No recent non-mortgage balance No recent retail balances No recent revolving balances Number of currently in delinquent status Number of with delinquency Number of with recent delinquency Number of active bank/national revolving Number of active retail Number of adverse/derog public records Your credit report shows no recent balances on your revolving credit card. Your FICO Score was hurt because you are not currently demonstrating active revolving credit card credit management. People who demonstrate responsible use of different types of credit are generally less risky to lenders, and your credit report shows no open or recently reported credit, except for possibly a mortgage. Your FICO Score evaluates your mix of credit products. People who demonstrate responsible use of different types of credit are generally less risky to lenders, and your credit report shows no retail account balances or it does not show recent balance about any of your retail. Your credit report shows no recent balances on your revolving. Your FICO Score was hurt because you are not currently demonstrating active revolving credit management. score was hurt because your credit report shows that you currently have missed payments. score was hurt because your credit report shows with missed payments. score was hurt because your credit report shows with recently missed payments. Your FICO Score considers the total number of active revolving credit cards you have. Consumers with a moderate number of active revolving credit cards on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of active revolving credit cards. Your FICO Score considers the total number of active retail you have. Consumers with a moderate number of active retail on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of active retail. The presence of a derogatory public record is a powerful predictor of future payment risk. Satisfying the public record will not remove the item from your credit report. It will still be considered by your FICO Score. You might consider moderate and responsible use of your bank/national revolving credit card, such as charging low balances and repaying them on time. Demonstrate an ability to moderately and responsibly use credit. If you have a credit card, show new balance activity by using the card and paying it back on time. If you don't have any open non-mortgage credit, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the You might want to show new activity on any retail card. You can do this by using it and paying it back on time. You might consider moderate and responsible use of your credit cards revolving, such as charging low balances and repaying them on time. Try to catch up on any late payment and focus on continually paying all your bills on time. This will demonstrate a good payment history, and these late payments will have less of a negative impact on your FICO Score as time passes. Try to catch up on any late payment and focus on continually paying all your bills on time. This will demonstrate a good payment history, and these late payments will have less of a negative impact on your FICO Score as time passes. Try to catch up on any late payment and focus on continually paying all your bills on time. This will demonstrate a good payment history, and these recent late payments will have less of a negative impact on your score as time passes. Avoid opening more credit at this time and as a general If you have a relatively large number of active retail, avoid opening more retail at this time. If you have a very limited number of retail, consider opening a retail account and paying it back on time. As this item ages, its impact on your FICO Score will gradually decrease. Most public records stay on your report for no more than seven years though bankruptcies may remain for up to 10 years. Copyright Fair Isaac Corporation. All rights reserved. 6

7 Number of bank/national revolving Number of bank/national revolving with balances Number of bank/national revolving or other revolving Number of collections filed Number of consumer finance company inquiries Number of established Number of finance co accts established relative to length of finance hist Number of open installment loans Number of recently opened consumer finance company Your FICO Score considers the total number of revolving credit cards you have. Consumers with a moderate number of revolving credit cards on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of revolving credit cards. Your FICO Score considers the number of revolving credit card you have with balances. The total balance on your last statement is generally the amount that is shown on your credit report. Your FICO Score considers the total number of revolving you have. Consumers with a moderate number of revolving on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of revolving. The presence of a collection is a powerful predictor of future payment risk. Satisfying the collection will not remove the item from your credit report. It will still be considered by your FICO Score. Each time you apply for credit a credit inquiry is added to your credit report. People who are actively seeking credit pose more of a risk to lenders than those who are not. Your FICO Score was lowered due to the number of credit inquiries within the last 12 months. Your FICO Score looks at the total number of you have. Consumers with a moderate number of credit on their credit bureau report represent lower risk than consumers with either a relatively large number of or a very limited number of. The fact that you have a consumer finance company loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this account is closed, it will still lower your FICO Score. Your FICO Score considers the total number of open installment loans you have. Consumers with a moderate number of open installment loans on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of open installment loans. The fact that you have a consumer finance company loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this account is closed, it will still lower your FICO Score. If you have a relatively large number of revolving credit cards, avoid opening more revolving credit cards at this time. If you have a very limited number of revolving credit cards, consider opening a revolving credit card and paying it back on time. Consider reducing the number of revolving credit card that carry a balance and keeping your balances low. Keep in mind that even if you pay revolving credit cards off in full each month, your credit report may still show a balance on those cards as you make purchases through the month. If you have a relatively large number of revolving, avoid opening more revolving at this time. If you have a very limited number of revolving, consider opening a revolving account and paying it back on time. As this item ages, its impact on your FICO Score will gradually decrease. Most collections stay on your report for no more than seven years. A common misperception is that every inquiry will drop your score a certain number of points. This is not true. Typically, the presence of inquiries on your credit file has only a small impact on FICO Scores, carrying much less importance than late payments, the amount you owe, and the length of time you have used credit. However, as a general Your FICO Score will consider recent inquiries less as time passes, provided no new inquiries are added. If you have a relatively large number of established, avoid opening more at this time. If you have a very limited number of established, consider opening an account and paying it back on time. Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. If you have a relatively large number of open installment loans, avoid opening more installment loans at this time. If you have a very limited number of open installment loans, consider opening an installment loan and paying it back on time. Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. Copyright Fair Isaac Corporation. All rights reserved. 7

8 Number of retail Number of retail with balances Number of revolving Number of revolving with balances higher than limits Payments due on Proportion of balance to limit on auto is too high Proportion of balance to limit on consumer finance company is too high Proportion of balance to limit on delinquent is too high Proportion of balance to limit on retail is too high Proportion of balance to limit on sales finance company is too high Your FICO Score looks at the total number of retail you have. Consumers with a moderate number of retail on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of retail. Your FICO Score considers the number of retail you have with balances. The total balance on your last statement is generally the amount that is shown on your credit report. Your FICO Score looks at the total number of revolving you have. Consumers with a moderate number of revolving on their credit bureau report represent lower risk than consumers with either a relatively large number or a very limited number of revolving. available credit on revolving credit card. The extent of your credit usage is one of the most important factors to your FICO Score. In your case, this proportion of balances to credit limits is too high on these. occurred, are an important part of your FICO Score. Your score was hurt because you have missed payments to your creditors. Your FICO Score weighs the balances of your auto loans against the original loan amounts. In general, when you first obtain an auto loan your balance is high, and as you pay this loan down, the balance decreases. available credit on consumer finance loans. In your case, this proportion of balances to credit limits is too high on these. available credit on delinquent. In your case, this proportion of balances to credit limits is too high on these. available credit on retail. In your case, this proportion of balances to credit limits is too high on these. available credit on sales finance company. In your case, this proportion of balances to credit limits is too high on these. If you have a relatively large number of retail, avoid opening more retail at this time. If you have a very limited number of retail, consider opening a retail account and paying it back on time. Consider reducing the number of retail that carry a balance and keeping your balances low. Keep in mind that even if you pay retail off in full each month, your credit report may still show a balance on those cards as you make purchases through the month. If you don't have many revolving, you might consider opening a new credit card. However, please keep in mind, opening a new account, and to a lesser extent, the resulting credit inquiry may lower your FICO Score in the Try to pay down your revolving credit card account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Focus on continually paying all your bills on time. This will demonstrate a good payment history and these late payments will have less of an impact on your FICO Score as time passes. This factor will have less of a negative impact on your FICO Score as you pay down your auto loans and the total balance decreases. Try to pay down your consumer finance company account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to pay down your delinquent account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to pay down your retail account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to pay down your sales finance company account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Copyright Fair Isaac Corporation. All rights reserved. 8

9 Proportion of balances to credit limits on bank/national revolving or other revolving is too high Proportion of balances to credit limits on bank/national revolving is too high Proportion of balances to credit limits on revolving is too high Proportion of balances to loan amounts on mortgage loans is too high Proportion of loan balances to loan amounts is too high Proportion of revolving balances to total balances is too high Serious delinquency Serious delinquency, and public record or collection filed Time since account activity is too long Time since delinquency is too recent or unknown Time since derogatory public record or collection is too short available credit on revolving credit card or other revolving. The extent of your credit usage is one of the most important factors to your FICO Score. In your case, this proportion of balances to credit limits is too high on these. available credit on revolving credit card. The extent of your credit usage is one of the most important factors to your FICO Score. In your case, this proportion of balances to credit limits is too high on these. available credit on revolving. This credit usage ratio is one of the most important factors to your FICO Score. In your case, this proportion of balances to credit limits is too high on these. Your FICO Score evaluates the balances of mortgage loans in relation to the original loan amount on your mortgages. In general, when you first obtain a mortgage loan, your balance is high, and as you pay these loans down, the balance decreases. Your FICO Score weighs the balances of your nonmortgage installment loans (such as auto or student loans) against the original loan amounts. In general, when you first obtain an installment loan your balance is high, and as you pay this loan down, the balance decreases. Your FICO Score evaluates your revolving balances in relation to total balances across your mix of credit. In your case, this proportion of revolving balances to total balances is too high. The presence of a serious delinquency is a powerful predictor of future payment risk. People with previous late payments are much more likely to pay late in the future. The presence of a serious delinquency, derogatory public record or collection is a powerful predictor of future payment risk. Satisfying the public record or paying off the collection will not remove the item from your credit report. It will still be considered by your FICO Score. Your FICO Score considers where you have actively used and paid your bills as agreed in the recent past. In your case, it has been too long since you have used credit. occurred, are an important part of your FICO Score. Your score was hurt because the time since your most recent past due payment was too recent. The recency of a derogatory public record (such as a bankruptcy or tax lien) or collection is a powerful predictor of future payment risk. Satisfying the public record or paying off the collection will not remove the item from your credit report. It will still be considered by your FICO Score. Try to pay down your revolving credit card and other revolving account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to pay down your revolving credit card account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. Try to pay down your revolving account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. This factor will have less of a negative impact on your FICO Score as you pay down your mortgage loans and the total balance decreases. This factor will have less of a negative impact on your FICO Score as you pay down your installment loans and the total balance decreases. Try to pay down your revolving credit card account balances. Keep in mind that consolidating or moving your debt from one account to another will usually not help your FICO Score since the total amount owed remains the same. As these items age, the impact on your FICO Score will gradually decrease. Most late payments stay on your report for no more than seven years. As this item ages, its impact on your FICO Score will gradually decrease. Most public records and collections stay on your report for no more than seven years though bankruptcies may remain for up to 10 years. If you have a credit account, such as a credit card, you might want to show new activity on this card by using it and paying it back on time. Focus on continually paying all your bills on time. This will demonstrate a good payment history so that your last missed payment will have less of an impact on your FICO Score as time passes. As this item ages, its impact on your FICO Score will gradually decrease. Most public records and collections stay on your report for no more than seven years though bankruptcies may remain for up to 10 years. And try to avoid any additional derogatory public records or collection items. Copyright Fair Isaac Corporation. All rights reserved. 9

10 Time since most recent account opening is too short Time since most recent auto account opening is too short Time since most recent bank/national revolving account opening is too short Time since most recent consumer finance company account opening is too short Time since most recent installment loan account opening is too short Time since most recent retail account established Time since most recent revolving account established Time since most recent sales finance company account opening is too short Too few currently paid as agreed Too few with balances Too few with recent payment new credit account. People who recently opened a new credit account are more likely to miss future payments than those who have not. new auto loan. People who recently opened a new auto loan are more likely to miss future payments than those who have not. new revolving credit card account. People who recently opened a new revolving credit card are more likely to miss future payments than those who have not. new consumer finance loan. People who recently opened a new consumer finance loans are more likely to miss future payments than those who have not. new installment loan account. People who recently opened a new installment loan are more likely to miss future payments than those who have not. new retail account. People who recently opened a new retail account are more likely to miss future payments than those who have not. new revolving account. People who recently opened a new revolving account are more likely to miss future payments than those who have not. new sales finance company account. People who recently opened a new sales finance company account are more likely to miss future payments than those who have not. Your FICO Score considers the number of where you are paying your bills as agreed. In your case this number is too low because you have very few or because you've missed payments recently on some of your. Your FICO Score considers the number of with balances. In your case this number is too low because you have very few or because you have few with balances. Your FICO Score considers the number of with recent payment or activity. In your case this number is too low because you have very few or because you have few with recent payment or activity. Avoid opening more credit at this time and as a general Avoid opening more auto loans at this time and as a general rule, if you don't need or plan to use credit, don't apply for it. Avoid opening more revolving credit cards at this time and as a general Avoid opening more consumer finance company at this time and as a general rule, if you don't need or plan to use credit, don't apply for it. Avoid opening more installment loans at this time and as a general Avoid opening more retail at this time and as a general Avoid opening more revolving at this time and as a general Avoid opening more sales finance company at this time and as a general rule, if you don't need or plan to use credit, don't apply for it. If you don't have many, you might consider opening a new credit card and paying on time. However, opening a new account, and to a lesser extent, the resulting credit inquiry may lower your score in the If you ve recently missed payments, then focus on paying your bills on time.. Demonstrate an ability to moderately and responsibly use credit. If you have a credit card, show new balance activity by using the card and paying it back on time. If you don't have any open non-mortgage credit, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Demonstrate an ability to moderately and responsibly use credit. If you have a credit card, show new balance activity by using the card and paying it back on time. If you don't have any open non-mortgage credit, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Copyright Fair Isaac Corporation. All rights reserved. 10

11 Too few active Too few bank/national revolving Too few bank/national revolving with recent payment Too few consumer finance company with recent payment Too few installment Too few retail Too few retail with recent payment Too few revolving Your FICO Score considers the number of which you are actively using and paying as agreed. In your case this number is too low because you have very few or because you have not used your credit recently. You have fewer revolving credit card than other consumers with credit histories of similar length. Actively and responsibly managing a moderate number of revolving credit cards is a sign of good credit management. Your FICO Score considers the number of revolving credit cards with recent payment or activity. In your case this number is too low because you have very few or because you have few with recent payment or activity. Your FICO Score considers the number of consumer finance loans with recent payment or activity. In your case this number is too low. You have fewer installment loans than other consumers with credit histories of similar length. Actively and responsibly managing a moderate number of installment loans is a sign of good credit management. You have fewer retail than other consumers with credit histories of similar length. Actively and responsibly managing a moderate number of retail is a sign of good credit management. Your FICO Score considers the number of retail with recent payment or activity. In your case this number is too low because you have very few or because you have few with recent payment or activity. You have fewer revolving than other consumers with credit histories of similar length. Actively and responsibly managing a moderate number of revolving is a sign of good credit management. Demonstrate an ability to moderately and responsibly use credit. For example, if you have a credit card, show new balance activity by using the card and paying it back on time. If you have very few open credit, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Although the resulting credit inquiry may lower your FICO Score in the short term, you might consider opening a new revolving credit card account. Opening a new revolving credit card account and managing your credit wisely will demonstrate that you can handle different types of credit. Demonstrate an ability to moderately and responsibly use credit. If you have a credit card, show new balance activity by using the card and paying it back on time. If you don't have any open non-mortgage credit, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. Although the resulting credit inquiry may lower your FICO Score in the short term, you might consider opening a new installment loan. Opening a new installment loan and managing your credit wisely will demonstrate that you can handle different types of credit. Although the resulting credit inquiry may lower your FICO Score in the short term, you might consider opening a new retail account. Opening a new retail account and managing your credit wisely will demonstrate that you can handle different types of credit. Demonstrate an ability to moderately and responsibly use retail. If you have a retail account, show new balance activity by using the card and paying it back on time. If you don't have any open retail, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Although the resulting credit inquiry may lower your FICO Score in the short term, you might consider opening a new revolving account. Opening a new revolving account and managing your credit wisely will demonstrate that you can handle different types of credit. Copyright Fair Isaac Corporation. All rights reserved. 11

12 Too few revolving with recent payment Too few sales finance company with recent payment Too many recently opened Too many with balances Too many bank/national revolving Too many consumer finance company Too many inquiries last 12 months Too many installment Too many recently active Too many recently active auto Your FICO Score considers the number of revolving with recent payment or activity. In your case this number is too low because you have very few or because you have few with recent payment or activity. Your FICO Score considers the number of sales finance company with recent payment or activity. In your case this number is too low because you have very few or because you have few with recent payment or activity. Your FICO Score was hurt because of recent credit account openings. Opening several credit in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score considers the number of you have with balances. In your case this number is too high, representing a greater risk to lenders than consumers with fewer with balances. Your FICO Score considers the total number of revolving credit card you have. Consumers with a moderate number of revolving credit cards on their credit bureau report represent lower risk than consumers with a relatively large number of revolving credit cards. The fact that you have a consumer finance company loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this account is closed, it will still lower your FICO Score. Each time you apply for credit a credit inquiry is added to your credit report. People who are actively seeking credit pose a higher risk to lenders than those who are not. Your FICO Score was lowered due to the number of credit inquiries within the last 12 months. Your FICO Score considers the total number of installment loans you have. Consumers with a moderate number of installment loans on their credit bureau report represent lower risk than consumers with a relatively large number of installment loans. Your FICO Score was hurt because you recently used too many credit. Using excessive credit in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score was hurt because you recently used too many auto loans. Using excessive auto loans in a short time period is reflective of greater risk especially for people with short credit histories. Demonstrate an ability to moderately and responsibly use revolving. If you have a revolving account, show new balance activity by using the card and paying it back on time. If you don't have any open revolving, consider opening one. However, be aware that opening a new account, and to a lesser extent, the credit inquiry associated with applying for one may lower your FICO Score in the Demonstrate an ability to moderately and responsibly use sales finance company. If you have a sales finance company, show new balance activity by using the account and paying it back on time. Avoid opening more credit at this time and as a general Consider reducing the number of your that carry a balance and keeping your balances low. Keep in mind that even if you pay credit cards off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report. Closing an existing revolving credit card account doesn't make it disappear from your credit report immediately. So closing many or all of these isn't likely to impact your FICO Score. Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. A common misperception is that every inquiry will drop your score a certain number of points. This is not true. Typically, the presence of inquiries on your credit file has only a small impact on FICO Scores, carrying much less importance than late payments, the amount you owe, and the length of time you have used credit. However, as a general Your FICO Score will consider recent inquiries less as time passes, provided no new inquiries are added. Pay down some of your outstanding installment loan balances and avoid opening more installment loans at this time. As a general rule, if you don't need or plan to use credit, don't apply for it. Pay down some of your outstanding credit balances, and avoid opening more credit at this time. As a general rule, if you don't need or plan to use credit, don't apply for it. Pay down some of your outstanding auto loan balances and avoid opening more auto loans at this time. As a general rule, if you don't need or plan to use auto loans, don't apply for them. Copyright Fair Isaac Corporation. All rights reserved. 12

13 Too many recently active bank/national revolving Too many recently active consumer finance company Too many recently active installment loan Too many recently active retail Too many recently active sales finance company with balances bank/national revolving bank/national revolving with balances consumer finance company installment Your FICO Score was hurt because you recently used too many revolving credit cards. Using excessive revolving credit cards in a short time period is reflective of greater risk especially for people with short credit histories. The fact that you have a recently active consumer finance loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this account is closed, it will still lower your FICO Score. Your FICO Score was hurt because you recently used too many installment loans. Using excessive installment loans in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score was hurt because you recently used too many retail credit. Using excessive retail credit in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score was hurt because you recently used too many sales finance company. Using excessive sales finance company in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score considers the number of recently opened you have with balances. In your case this number is too high, representing a greater risk to lenders than consumers with fewer recently opened with balances. Your FICO Score was hurt because you recently opened too many new revolving credit cards. Opening several revolving credit cards in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score considers the number of recently opened revolving credit cards you have with balances. For credit cards, even if you pay them off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report. The fact that you have a recently opened consumer finance loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this account is closed, it will still lower your FICO Score. Your FICO Score was hurt because you recently opened too many new installment loans. Opening several installment loans in a short time period is reflective of greater risk especially for people with short credit histories. Pay down some of your outstanding revolving credit card balances and avoid opening more revolving credit cards at this time. As a general rule, if you don't need or plan to use revolving credit, don't apply for it. Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. Pay down some of your outstanding installment loan balances and avoid opening more installment loans at this time. As a general rule, if you don't need or plan to use installment loans, don't apply for them. Pay down some of your outstanding retail credit balances and avoid opening more retail at this time. As a general rule, if you don't need or plan to use retail credit, don't apply for it. Pay down some of your outstanding sales finance company account balances and avoid opening more sales finance company at this time. As a general rule, if you don't need or plan to use sales finance company credit, don't apply for it. Consider reducing the number of your recently opened that carry a balance and keeping your balances low. Keep in mind that even if you pay credit cards off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report. Avoid opening more revolving credit cards at this time and as a general Consider reducing the number of your revolving credit cards that carry a balance and keeping your balances low. Consumer finance companies typically grant loans to people with poor credit histories. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit. Try to stay current with all of your payments and avoid opening any new credit that you don't need. Avoid opening more installment loans at this time and as a general Copyright Fair Isaac Corporation. All rights reserved. 13

14 retail with balances revolving revolving with balances sales finance company Too many retail Too many revolving Your FICO Score considers the number of recently opened retail credit cards you have with balances. In your case this number is too high, representing a greater risk to lenders than consumers with fewer recently opened retail credit cards with balances. Your FICO Score was hurt because you recently opened too many revolving. Opening several revolving in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score considers the number of recently opened revolving you have with balances. In your case this number is too high, representing a greater risk to lenders than consumers with fewer recently opened revolving with balances. Your FICO Score was hurt because you recently opened too many sales finance. Opening several sales finance in a short time period is reflective of greater risk especially for people with short credit histories. Your FICO Score considers the total number of retail credit card you have. Consumers with a moderate number of retail credit cards on their credit bureau report represent lower risk than consumers with a relatively large number of retail credit cards. Your FICO Score considers the total number of revolving you have. Consumers with a moderate number of revolving on their credit bureau report represent lower risk than consumers with a relatively large number of revolving. Consider reducing the number of your retail credit cards that carry a balance and keeping your balances low. Keep in mind that even if you pay retail credit cards off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report. Avoid opening more revolving at this time and as a general Consider reducing the number of your revolving that carry a balance and keeping your balances low. Keep in mind that even if you pay revolving credit cards off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report. Avoid opening more sales finance at this time and as a general Avoid opening more retail credit cards at this time and as a general Closing an existing revolving account doesn't make it disappear from your credit report immediately. So closing many or all of these isn't likely to impact your FICO Score. Copyright Fair Isaac Corporation. All rights reserved. 14